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, the prime minister of kenya. >>> when barack obama came into office, many in america and around the world hoped he would breathe life into the prospects between a peace deal between israel and the palestinians. obama quickly appointed a man on the issue, former senator george mitchell, who had negotiated the peace accords in the islands. it is considered by some to be the most right wing in memory, as is the new government. the prime minister netanyahu had been fiercely critical of any kind of palestinian state. his former minister had called for what some had characterized as leaders from israel. obama and netanyahu have clashd to expand settlements over the west bank. there has been some forward movement. he did accept the idea of a palestinian state about a month ago. there were some caveats. on the palestinian side, they are becoming somewhat less corrupt and more competent. they seem to have less support, even in gaza, where talks continue to be hellish. isn't the real story not these talks with the palestinians but military action against iran? the former u.n. ambassador john bolton
of the minds i think on some additional regulation. not a global regulator. the united states of america should never agree to have an international regulator that tells it what to do and what not to do with its economy. but there are some things, i think, that looks now like they're going to come out of this meeting. some saw a regulation of tax haven is a healthy thing. that would be a healthy thing globally. some regulation, perhaps, of hedge funds and things like that. so i think we'll probably see that, and i think the obama administration will be going along with that. >> what about the core financial issue, which is what to do about these banks? you wrote an article in the financial times in which you basically remembered the experience of japan's last decade when you were in high government office, and you pointed out that the key problem was they didn't deal with the bad banks fast enough and decisively enough. they kept some of these zombie banks alive, well enough not to die but not well enough to actually give loans. it does seem like there may be so
influence grows. what if they were to lose faith in america? what if they were to use their economic clout in various countries? the first thing you should know about wen jiabao is he's quite different from other leaders in the chinese era. his followers have a nickname for him, grandpa wen. he flew out to a devastated area, met with them individually. he behaves more like a chinese politician. he is a politician within the ranks of his political party. i asked him about one of the most difficult times of his life, tiananmen square. i heard the other chinese officials in the room gasp. wen paused for what seemed like a minute, and then he answered with surprising frankness. listen carefully to what he says about chinese democracy. this was the heart of the interview. wen made clear that his country is moving toward the day when it will resemble a western-style democracy in some ways. he expressed a simple but powerful conviction, that government should answer to its people, and he acknowledged that he could see a time when china would have a two-party election. wen also said china needs a
maybe difference in degree, not kind. we have a world view that says america should be leading by example, you know, it's not -- i think my husband said, actually, it's not the example of our power but the power of our example that we want to convey. so when the president asked me to consider this, i was personally very surprised. and i became even more surprised when accounts of the campaign came out and said he had been thinking about it for some time. but i also believe that what i brought to the job, the real commitment that i have to being not just effective but being part of a team that's effective, which the president knows, we served in the senate together, has really worked out better than anybody could have predicted. i think our personal relationship has, you know, certainly deepened and broadened over the course of the last six to nine months, the time we spend together, the difficult problems we wrestle with. but also the team, bob gates and i, jim jones and i, others who work with us, are really open. and henry kissinger said to me he was very surprised. it was th
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